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Needs a lot of TLC from the pics, it looks like 200K worth of hard miles that thing has seen. It's quite possible you could bring the IMA system back to life, and like these guys said, you could probably part it out for more than the asking price
I'd get the Carfax on it and see what you're looking at, but judging from the pics and description I would expect a lot of rust, electrical issues and a downshift grind, missing under-panels, sticky doors, windows, latches, a bad turn signal/light switch, bad EGR, maybe throwing some CAT/o2 codes, etc . . . . I'd also expect from the lack of rear interior pics that it's leaking into the rear compartment.
Bottom line is that if it runs and shifts, you can probably just use it as a beater and still get in the mid fifties. If you don't immediately have to start throwing parts on it, it's probably worth the 1500 bucks, but I'd try to talk him down anyway, of course!
***edit***
Wait, did you say "if the loan works out"? Hopefully you mean somebody in the family is loaning you the money.
I wouldn't necessarily make any kind of payments on a car you're going to be working on at some point, if not immediately!
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